Markets do not view banks with low capital favourably and offer funds at a higher rate, says study done independently.
All 10 economists and bond traders polled by Business Standard expect the status quo to continue on rates.
Lower inflation next year may open the space for rate cut, but for now the challenge is seeing through the government borrowing and keeping the bond yield low
From RBI policy review, Facebook planning further expansion to Voda Idea reporting Q1 loss, here are the top news on Friday morning
The committee highlighted that inflation risks emanate from supply chain disruptions, high vegetable prices, increased taxes on fuels, and volatility in financial markets
Policy rate pause and debt recast window make sense
Rate cut off the table for now; focus is on other measures to ease stress in system
Interest rate sensitive stocks traded in a narrow range. Realty stocks, however, bucked the trend with the Nifty Realty index rallying over 1 per cent post the development.
RBI needs to focus on whether credit is reaching the stressed areas of the economy and also if the viable firms were able to access credit and not the unviable ones, he says
BofA says the RBI will not only cut rates now, but will follow it up with another 75 bps cut in rest of the financial year 2020-21 (FY21)
The brokerage had last month penciled in 5 to 7.5 per cent contraction in GDP this fiscal, saying each month of lockdown has shaved off 100 bps of the economy
The MPC, headed by RBI Governor, is scheduled to meet for three days beginning August 4
Economy likely to contract this quarter and next and in this fiscal year as a whole, according to poll of 60 economists.
Start by shifting to repo-linked rates, then seek the lowest rate being offered by lender
That apart, they expect the government's overall fiscal deficit to rise
Economic Affairs Secretary Tarun Bajaj says he is certain that a V-shaped economic recovery will take a year.
The Monetary Policy Committee (MPC), headed by RBI Governor, is scheduled to meet for three days beginning August 4
There is lots of monetary space as interest rates here are still significantly positive unlike western Europe, where there is zero to negative rates, he said at the India Global Week 2020
Analysts want RBI to look at 'unconventional' monetary policy measures for a revival nudge
Falling rates to help; rise in group exposure limits will support large companies